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Morgan Stanley Updates Grainger (GWW) Forecasts, Raises Price Target to $1,190

W.W. Grainger, Inc. (NYSE:GWW) is included among the Dividend Kings List: Top 15 Stocks.

On March 3, Morgan Stanley raised its price recommendation on W.W. Grainger, Inc. (NYSE:GWW) to $1,190 from $1,100 and maintained an Equal Weight rating on the stock. The firm said it was updating its estimates to reflect the company’s Q4 results and rolling forward its forecasts.

During the company’s Q4 2025 earnings call, CEO Donald Macpherson said the company streamlined its portfolio by exiting the U.K. market. At the same time, Grainger invested in new supply chain capacity to extend its service leadership. The discussion also turned to artificial intelligence and machine learning. Macpherson said the company’s data capabilities support its five strategic growth engines and help drive market share gains in the High-Touch Solutions segment. He noted that Grainger expanded its assortment by more than 85,000 SKUs in 2025. According to him, that marked the largest increase for the High-Touch segment in almost a decade.

He also described several AI-driven improvements across marketing and sales. These included broader seller coverage and the ongoing rollout of the seller insights platform. Looking ahead to 2026, Macpherson said the company plans to apply AI to the platform to generate actionable insights, identify new customer contacts, and improve coaching opportunities for sales leaders.

W.W. Grainger, Inc. (NYSE:GWW) operates as a broadline distributor of maintenance, repair, and operating products for businesses and institutions. The company reports its operations through two segments: High-Touch Solutions North America and Endless Assortment.

While we acknowledge the potential of GWW to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than GWW and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 40 Most Popular Stocks Among Hedge Funds Heading into 2026 and 15 Best Stocks to Buy Now for Passive Income

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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